California personal income taxes far below projection in December

$4.3 billion under projection in December 2022 alone

December’s California state tax revenue results were much worse than I have been expecting even as of yesterday. Personal and corporate income taxes received during the 2022-23 fiscal year to date now are roughly equal to the June 2022 budget projection, wiping out the one-time corporate tax gains of recent months.

Next week, the Governor will release the administration's new revenue projections. This is a standard part of the process each January 10, when the Governor introduces his new annual budget proposal. California has unprecedented levels of budget reserves and cash to deal with these types of revenue shortfalls.

This account aims to provide occasional updates on budget bill introductions, amendments, and actions, as well as other major budget process developments. For additional information, follow Jason Sisney on Post.com, Mastodon, or LinkedIn or, as always, contact him via email.